Share Price

The share price is the market price of 1 share as determined by the market. As such, this is a price that is constantly changing. It can change due to market sentiment or due to company’s fundamentals.

The share price on its own is meaningless. One should compare the share price to the earnings per share and other figures that can be found in the cash flow statement and balance sheet. For example, one can look at the price to earnings ratio, the price to book ratio or the price to sales ratio.

Read: Total Return

Share Split